16. Segment Reporting

The Company operates as a single operating and reportable segment and derives substantially all of its revenue from development and sales of low-power AI-based processing and video and image processing SoC solutions. In determination of a reportable segment, the Company considers the research and development deployed, the nature of production process, the distribution channels of SoCs, as well as the Company’s management structure. The Chief Executive Officer of the Company has been identified as the Chief Operating Decision Maker (the CODM) and manages the Company’s operations as a whole. The CODM uses net loss presented on a consolidated basis to evaluate the financial performance and allocate resources. The CODM also monitors budget versus actual results of the operating segment. The measure of reportable segment assets is reported within the consolidated balance sheets as total assets. The accounting policies for the measurement of net loss and total assets of the reportable segment have been described in the Note 1, Organization and Summary of Significant Accounting Policies.

Geographic Revenue

The following table sets forth the Company’s revenue by geographic region based on bill-to location for the periods indicated.

 

 

Year Ended January 31,

 

 

 

2026

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Taiwan

 

$

271,928

 

 

$

179,324

 

 

$

119,601

 

Asia Pacific other than Taiwan

 

 

71,032

 

 

 

61,663

 

 

 

58,506

 

Europe

 

 

20,065

 

 

 

22,778

 

 

 

11,949

 

North America other than United States

 

 

21,833

 

 

 

18,074

 

 

 

25,754

 

United States

 

 

5,844

 

 

 

3,026

 

 

 

10,664

 

Total revenue

 

$

390,702

 

 

$

284,865

 

 

$

226,474

 

Substantially all of the Company’s property and equipment were located in the United States, Taiwan, Europe and Asia Pacific region other than Taiwan. As of January 31, 2026, the net amount of these fixed assets located in these regions was approximately $6.6 million, $3.6 million, $1.1 million and $0.3 million, respectively. As of January 31, 2025, the net amount of these fixed assets located in these regions was approximately $3.7 million, $4.0 million, $1.1 million and $0.3 million, respectively.

 

Additional Segment Information

The following table presents the significant segment expenses included in the consolidated net loss for the periods indicated:

 

 

 

Year Ended January 31,

 

 

 

2026

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Total revenue

 

$

390,702

 

 

$

284,865

 

 

$

226,474

 

Less cost and expense:

 

 

 

 

 

 

 

 

 

Product cost

 

 

153,419

 

 

 

106,237

 

 

 

83,221

 

Employee-related

 

 

131,015

 

 

 

115,188

 

 

 

110,601

 

Stock-based compensation

 

 

98,040

 

 

 

108,043

 

 

 

111,316

 

Semiconductor development cost

 

 

33,415

 

 

 

28,049

 

 

 

24,680

 

Tools & equipment

 

 

27,118

 

 

 

26,089

 

 

 

23,202

 

Professional services

 

 

14,785

 

 

 

14,359

 

 

 

13,012

 

Facilities-related

 

 

11,747

 

 

 

10,765

 

 

 

10,983

 

Other segment items (a)

 

 

5,917

 

 

 

1,988

 

 

 

26,713

 

Interest income

 

 

(8,889

)

 

 

(8,727

)

 

 

(7,837

)

Net loss

 

$

(75,865

)

 

$

(117,126

)

 

$

(169,417

)

 

 

(a) The other segment items include amortization of intangible assets acquired from business combinations, non-operating (income) expenses, income tax provision (benefit) and other immaterial items.

 

Major Customers

The customer representing 10% or more of revenue for the fiscal years ended January 31, 2026 and 2025 was WT, which accounted for approximately 70% and 63% of total revenue, respectively. The customers representing 10% or more of revenue for the fiscal year ended January 31, 2024 were WT and Chicony, which accounted for approximately 53% and 14% of total revenue, respectively. Accounts receivable with WT was approximately $24.6 million and $12.3 million as of January 31, 2026 and 2025, respectively.

Historical Timeline

Fiscal YearFiled
2026Mar 23, 2026Showing above
2025Mar 28, 2025
2024Mar 29, 2024
2023Mar 31, 2023
2022Apr 1, 2022
2021Mar 31, 2021
2020Mar 27, 2020
2019Mar 29, 2019
2018Mar 30, 2018
2017Mar 30, 2017
2016Mar 25, 2016

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.